Category: Corporate Relocation

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Choosing a Relocation Company Corporate Relocation Domestic Relocation Global Relocation Relocation Policy Review Relocation Programs

Advantages of an Expedited Bidding Process

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More companies are using an expedited bidding process when it comes to outsourcing their relocation program to a Relocation Management Company (RMC). This fundamental shift in a company’s approach to outsourcing relocation has many benefits, including significant cost and time savings. As the pace of business continues to increase, expedited bidding has proven to be a boon for companies that are looking to enhance the management of their relocation program.

Global Mobility Solutions’ team of global relocation experts benchmarked 48 companies that have utilized this process to determine the reasons why this approach has risen in prominence in today’s relocation market. Our team has identified five distinct reasons for the increased utilization of expedited bidding.

Five Reasons Why Companies Prefer an Expedited Bidding Process:

1. Companies Buy Solutions, Not Parts

Purchasing relocation management is a much different process than sourcing parts or equipment. Companies understand that ensuring the right fit for the right reasons is the most important factor when sourcing employee-facing services.

2. Complimentary Mobility Consulting

Policy reviews, program design and recommendations, and policy development and revisions can easily be part of this process. This also allows companies to evaluate an RMC’s experience, knowledge of the relocation process, and the quality of their consulting work.

3. Faster Relocation Program Implementation With an Expedited Bidding Process

Over 90% of companies that utilize an expedited process are able to complete their implementation within 22 days. The speed of this approach allows companies to achieve immediate efficiencies in their programs.

4. Avoiding Formal Requests

Utilizing an expedited bidding process helps companies avoid the administrative burdens and resource-intensive approach typical of the more formal Requests for Information and Requests for Proposals.

5. Immediate Cost Savings

Competition inherent in this process often results in cost savings. Improved fee structures and reduced direct costs result in up-front savings for the client. Savings allow clients to increase their focus on strategic business initiatives while the RMC manages their relocation program.

What Should Employers do to Utilize an Expedited Bidding Process?

Employers should utilize an expedited bidding process as they consider outsourcing their relocation management. A Relocation Management Company with extensive knowledge of the global relocation market and the experience of moving hundreds of thousands of employees will provide the best resources for expedited bidding processes. An experienced RMC can also easily guide companies through the process and achieve highly successful results.

Conclusion

Global Mobility Solutions’ team of global relocation experts has helped thousands of our clients with their relocation programs. We can help your company understand how to gain the most benefits from utilizing an expedited bidding process. Learn how to choose the best Relocation Management Company from Global Mobility Solutions, the relocation industry and technology experts who are dedicated to keeping you informed and connected. Contact our experts online or give us a call at 800.617.1904 or 480.922.0700 today.

Request your complimentary relocation policy review

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What are the Benefits of Outsourcing Relocation Programs?

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What are the benefits of outsourcing relocation programs? Companies that want to stay ahead of their competitors and attract highly qualified employees offer a well-designed corporate relocation program. Employees are looking for relocation programs to provide a wide range of benefits and services to ensure they have an easy and smooth relocation process. Companies that offer a relocation program that is managed entirely in-house face several challenges in trying to meet the demands and expectations of a widespread workforce. There are many benefits to  outsourcing relocation programs that companies should consider as they review their offerings.

There are five key in-house relocation program challenges, and five crucial benefits that outsourcing provides to help company relocation programs be successful:

1. Program Managed by Various Locations or Individuals

Local HR teams may have different interpretations of programs and policies, so variations may impact the benefits transferees receive.

Outsourcing Benefit: When choosing to outsource, company relocation programs benefit from central program management with local support. At all times, a consistent and coherent program is administered and fully supported in all locations, with no variations by locale or individual interpretation.

2. Employees or Local HR Assume Additional Responsibilities

A company choosing to offer an in-house relocation program must rely on current employees and local HR teams to assume additional responsibilities. Some current employees may not have experience with relocation programs, so there may be a learning curve requiring additional time and training.

Outsourcing Benefit: Teams of fully trained relocation experts handle the interpretation and delivery of policies, ensuring employees receive the same benefits across the board.

3. Frequent Exception of “Special Deals”

In-house relocation programs are susceptible to frequent exceptions of “special deals” when employees try to find ways to help transferees and their families with unique challenges. Companies often do not have the resources to understand the unique challenges posed with relocation and how they have been addressed by other companies, likely resulting in unforeseen and unbudgeted obligations.

Outsourcing Benefit: Relocation experts with significant industry experience can use their knowledge to help companies understand how best to manage exceptions, minimizing expenses and process disruptions.

4. Relocation Costs not Effectively Tracked

Over 70% of companies that manage relocation in-house are not aware of their program’s internal operating costs. Without effective relocation program expense tracking, the true costs are hidden and thus cannot be effectively controlled or minimized.

Outsourcing Benefit: “Best of the Best” providers are utilized so transferees and their families receive exceptional services while costs can be fully identified, tracked, and reviewed for budgetary impact and program performance.

5. Increased Likelihood of Assignment Failures

Companies offering a relocation program hope their transferees have a successful relocation. However, the likelihood of assignment failure is high due to the in-house team’s lack of experience and knowledge when helping transferees and their families understand and address the unique challenges they face during the relocation process.

Outsourcing Benefit: Companies can benefit from an outsourced solution that specializes in unique relocation needs including tax issues, visa applications, and compliance reporting. Working with relocation experts who have extensive experience in these and other areas can help a company avoid risk related to transferee’s requests for guidance and advice.

Conclusion

The most successful companies outsource their relocation programs so employees and their families have access to industry-leading resources and expert guidance. The corporate relocation experts at Global Mobility Solutions (GMS) help our clients understand how to create and administer a relocation program that gives them a competitive advantage and provides the highest level of relocation benefits and services for their employees.

To learn more about the many benefits outsourcing your corporate relocation program can provide for your company and employees, contact our team of experts online, or call us at 800.617.1904 or 480.922.0700 today.

Request your complimentary relocation policy review

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What is Employee Relocation or Workforce Mobility?

Young couple unpacking cardboard boxes at new home.Moving house.
Young couple unpacking cardboard boxes at new home.Moving house.

Employee relocation or workforce mobility refers to the processes or relocation services involved in the transfer of employees or potential employees from one location to another. Additional terms that refer to these processes may include:

Some of these terms may be used interchangeably. However, the terms global relocation and North America relocation may differ in the range of services commonly required for relocating an employee. Reference to global relocation is usually as an umbrella term, and includes North America relocation processes. Reference to North America relocation usually excludes processes commonly needed for international employee relocation such as visa acquisition, repatriation, and language training.

Generally, a company’s management of workforce mobility accounts for ongoing employee support services, supplier management, candidate selection, relocation benefits, and expense management. Corporate relocation programs vary between companies due to size, need, or destination.

The overall process of employee relocation is usually divided into one of four service brackets including:

Pre-Decision Services:

According to Worldwide ERC data, the average cost to relocate an executive level home-owning employee is approximately $97,000. For this reason, companies seek assurances that an employee is a good fit for relocation. Pre-decision services aim to uncover any potential issues that may arise prior to the employee’s relocation. As a result, these services reduce the risk of a failed relocation. Some of the most common reasons for failed relocations according to Worldwide ERC include:

  • Negative home equity
  • Slow real estate housing market
  • Family resistance to move
  • Spousal employment
  • High costs of housing

Examples of a few common pre-decision services include:

Candidate Assessment – Services that assess candidate expectation, skills, personal qualities, family circumstance, and financial preparedness.

Cost of Living Analysis – Cost of living comparison of origin and destination cities to help determine acceptable or competitive salary range.

Market Analysis – Determines the likely home sale timeline and identifies potential home sale challenges such as negative equity.

School Reports – Public and Private School reports provided to the relocating employee to aid community selection.

Moving Cost Estimates – Cost estimates on household goods transportation, helps budget for relocation costs.

Community Search and Tours – Coordinates community orientation tours to familiarize relocating employees to their new location, and assist in selecting an area that fits their particular interests.

Origin Services for Employee Relocation

Origin services account for all services necessary at the transferring employee’s origin location. Some of these services include:

Expense Management – Establishment of expense reporting and management services for both the company and employee. Also, this is designed to track and contain costs during the relocation process. Utilized throughout the entire relocation process*

Home Sale Assistance – May include connecting employees with real estate agents, home marketing assistance, and home buying programs.

Household Goods Management – Management of household goods transport from origin to destination. May include procurement of van line services, replacement insurance, and guaranteed “not to exceed” estimates for goods transportation.

Visa and Immigration Services – For international relocations, visa and immigration services organize company and employee documents required for visa acquisition.

Property Management – For employees not selling their home. May include rental marketing assistance, tenant management, vacant property management, landlord consulting, and property maintenance.

Destination Services for Employee Relocation

Destination services account for all services necessary at the transferring employee’s destination location. The range of destination services sometimes includes a further segmentation of “settling in services.” These services are aimed at helping the employee and their family acclimate to their new location. Some of these services may include:

Home Finding Services – Services include connecting employees with real estate agents at destination, home buying assistance, corporate housing, temporary housing, rental assistance, and home finding tours.

Settling in Services – Services that aid employee acclimation to their new location including access to online resources, attaining local driver’s license, child care, connecting utilities, and locating a primary care physician.

Vehicle Lease or Purchase – Services that assist relocating employees acquire a vehicle including loan support, and lease negotiation.

Family Assistance – Services that assist the relocating employee’s family, including spousal employment support, counseling services, and stress management assistance.

Return or Repatriation Services

In most cases, employee relocation services for individuals returning from temporary North America assignments are equivalent to services provided at departure. While there are some short term North America relocation programs among companies, the majority of return services handle an employee’s return from international assignment. International assignments are usually classified into one of four categories:

  1. Extended Business Travel (EBT): an assignment of 3 months or less.
  2. Short Term: An assignment lasting 6 months to a year (range may go up to 2 years).
  3. Long Term: An assignment lasting 2-3 years.
  4. Permanent: An assignment lasting 3 years or more.

For EBT, short term, and long term assignments, repatriation plans have become an industry recognized necessity for effective employee retention. According to Atlas surveys, around 40% of expatriate employees leave their sponsoring company after assignment. Repatriation services seek to close this gap. They also help organizations maximize their workforce investment. As a result, they retain employees that have acquired substantial knowledge capital. Repatriation is a dynamic service area that has wide variation. For example, repatriation counseling helps employees returning from international assignment manage cultural differences, and re-acclimate to North America life. Additional services may include:

  • Lease termination assistance
  • Home services termination (includes utilities)
  • Tax equalization

Workforce mobility seeks to analyze, manage, execute and optimize the processes involved in transferring an employee from one location to another. For more detailed descriptions of relocation services, please visit the following pages:

Global Relocation
North America Relocation

Conclusion

The corporate relocation experts at Global Mobility Solutions (GMS) have the knowledge and expertise to help your company remain competitive, reduce costs, and offer your employees the best relocation experience.

GMS was the first relocation company to register as a .com. The company also created the first online interactive tools and calculators, and revolutionized the entire relocation industry. GMS continues to set the industry pace as the pioneer in innovation and technology solutions with its proprietary MyRelocation® technology platform.

Global Mobility Solutions is proud to be named and ranked #1 Overall, and #1 in Quality of Service by HRO Today’s 2019 Baker’s Dozen Customer Satisfaction Survey.

Contact our team of experts to discuss how we can help improve your company’s corporate relocation program, or call us at 800.617.1904 or 480.922.0700 today.

Request your complimentary relocation policy review

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Corporate Relocation

Top 5 Points for Creating Your 2018 Corporate Relocation Program Budget

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It’s that time of year when you might receive a meeting notice titled “2018 Budget Planning Meeting”, or a link to a data entry program, or a spreadsheet with line items for you to reconcile. Where do you start when creating a budget for your company’s corporate relocation program?

Corporate relocation programs often include several activities, all of which can impact your budget. Careful budgeting for 2018 will provide peace of mind over the upcoming year as you anticipate and account for the major points of your company’s workforce mobility requirements.

Be sure to consider these top 5 points as you create your 2018 corporate relocation budget:

Review Historical Data

Closely examine the past few year’s expenses and reports to identify areas that consistently exceed budget, or areas where you can reduce budget. The dynamic nature of the relocation process may result in additional costs related to employee documentation or tax obligations. Be careful to research trends in the data so you can identify areas where your policies might need to adjust, or where a competitive analysis would be helpful. Note specific areas generating out-of-policy costs and be sure to include contingencies in your 2018 budget.

Policy Review

You should review your corporate relocation policy to examine areas that should be adjusted to keep your company competitive with your industry peers. Consider process improvements and new technologies for expense reporting and program management for additional savings and procedural enhancements. Compliance to new or revised regulations might result in additional costs to include in your budget.

Accrual Accounting Requirements

Business expenses are often tracked through several reporting systems. Many companies account for business expenses that occur in one period by setting aside amounts known as accruals against which future expenses are allocated. As you prepare your budget, review the prior year’s accruals and note if you should budget for similar amounts to ensure a smoother expense tracking and recording process, especially in light of cash management requirements.

Large Cost Drivers

Most relocation costs are driven by large cost drivers. Examine the following activities in detail for inclusion in your 2018 budget. Be sure to compare and account for cost differences between global relocation and domestic relocation:

  • Temporary Housing Costs
  • Home Selling and Purchasing Costs
  • Household Good Shipments
  • Tax Implications for the Company and Employee

2018 Workforce Mobility Plans

Has the company announced any strategic initiatives that might result in additional employee relocations? Look for information related to facility planning, sales location development, and company expansion plans. A strategic partnership with another firm might result in temporary or permanent employee relocations. Today’s workforce is more responsive than ever before to changing company requirements, so be sure to plan for contingencies.

Conclusion

Global Mobility Solutions is the corporate relocation industry leader. Our mobility consulting team understands how to create budgets that accurately reflect the corporate relocation market. We have helped thousands of companies determine their budgeting needs, and our team is always ready to assist you in your budgeting process.

For expert guidance on your 2018 budget and corporate relocation policy, contact us online or call us at 800.617.1904 or 480.922.0700 today.

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Top 5 Reasons for Expedited Bidding

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What is Expedited Bidding?

The Expedited Bidding Process (EBP) is not an abbreviated approach. It is a request for proposal (RFP) that, like a traditional RFP, demands complete and detailed answers from relocation management companies (RMC). However, through expedited bidding, a company’s purchasing department only sends RFPs to a small, select group of key RMCs.

The trend in utilizing an EBP for the outsourcing of relocation management is at an all-time high. Global Mobility Solutions consulting team’s recent study shows that EBP utilization is up more than 200% over the last year. Why are so many companies turning to expedited bidding when looking for a mobility management solution?

Buying Solutions, Not Widgets
Purchasing relocation management is not like sourcing for parts. Ensuring the right fit for the right reasons is key when purchasing employee-facing services.

Courtesy Mobility Consulting
Policy reviews, recommendations, program design, and policy development can be part of the process. This allows for an evaluation of the RMC experience, knowledge, and quality of consulting work.

Immediate Cost Savings
Competition often equates to implicit cost savings through no fee implementation, less administrative burden and time investment, improved fee structures, and reduced direct costs.

Quicker Program Implementation
90% of EBP implementations are completed within 22 days, allowing for immediate efficiencies and realized savings.

Full RFP Avoidance
Eliminates the administrative burden for the purchasing department and reduces the need for extensive resources when compared to a formal Request for Proposal method.

Modern Mobility Made Easy™

What this means for you and your relocating employees

The Global Mobility Solutions benchmarking study shows that companies utilizing an expedited bidding process achieve savings up to 61% over typical RFP costs. Expedited bidding is one of many ways that Global Mobility Solutions recommends to make choosing an RMC fast, easy, and cost-effective. Before you send your next RFP, Download the 28 Critical Questions to ask an RMC. For more information on EBPs, and to learn more about Global Mobility Solutions’ corporate relocation programs, contact us online or give us a call at 800.617.1904 today.

Download the 28 Critical Questions to ask an RMC when submitting an RFP

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Top 5 Considerations When Choosing Relocation Technology

How to get better relocation technology and mobility management at your fingertips

In all aspects of life, technology has made things faster, easier, and more cost-effective. The same is true regarding relocation. Here are some benefits of relocation technology to consider when upgrading your mobility management.

  1. Is it safe, secure, and compliant?
  2. How can it help make my life easier?
  3. How can it help my relocating employees?
  4. Will it integrate with other systems I use?
  5. Is it customizable and scalable?

Safety. To ensure the privacy and protection of your transferees’ personal information, you will want to ensure that your relocation technology has the appropriate level(s) of Privacy Compliance and Service Organization Controls.

Making your life easier. A robust single-platform technology solution should provide human resources, recruiting, and other administrative stakeholders with the tools needed to efficiently oversee relocation, such as:

  • Pre-hire and decision analytics and tools
  • Customizable online relocation initiation and approval process
  • Customizable “at-a-glance” dashboards to easily display the data you want
  • Online relocation cost estimating
  • Detailed and comprehensive performance analytics (SLAs and Metrics)
  • Fully-customizable and robust service and financial reporting suites on demand
  • Online tools and resources to plan and manage your mobility program

With a look at your screen and the touch of a button, you can easily track the progress of transferees, expenses, manage any exceptions, and more.

Helping your relocating employees. Today’s relocation technology should be accessible on any device, including tablets and smartphones. This technology should be available to anyone relocating with your company, including candidates who can benefit from the full scope of pre-employment features offered. Your workforce will move with ease using features like:

  • Virtual Destination and Guides
  • Access relocation benefit details
  • Relocation tools like mortgage vs. rent calculators
  • Online expense submission and tracking
  • Simplified travel booking
  • Real-time expense submissions and reimbursements
  • Language and cultural tools
  • Text and email alerts

It needs to work with what you already have. A good relocation technology solution should integrate with your existing human resources, payroll, and other critical systems and seamlessly enhance your work flow, not complicate it.

You want your solution to grow with your company. As evidenced by many of the preceding bullets, the ability to customize is a key factor when choosing relocation technology. From how you view information on the screen, to the data included on reports, you need a technology solution that gives you what you want, when you want it.

Modern Mobility Made Easy™
What this means for you and your relocating employees

Global Mobility Solutions believes in the use of technology to complement our high touch service model to provide a seamless relocation experience for you and your transferring employees.

MyRelocation™ is our single-platform, online relocation management suite that provides our clients and their transferees an array of decision-making, tracking, and expense management tools – right at their fingertips – anywhere, anytime. To see what MyRelocation™ can do for you, request a quick demo.

Request a relocation technology demo

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Relocation Models for 5 Major Industries

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Traditional vs. Lump Sum Relocation Programs

Which is best model for your company?

There is more than one way to get your relocating employees to their new assignments. Many companies opt for either a traditional relocation program, a lump sum/managed cap program, or a combination of the two, depending on the position of the transferee and other special circumstances.

What are the Differences?

With a lump sum or managed cap model, relocating employees are given a pre-determined amount of money to cover all aspects of their move. From the shipping of goods to temporary housing, the transferees are responsible for researching and obtaining all the services needed to get them to their new destinations. There is no tracking or reporting available to HR or finance departments to let them know whether their relocation policies are too generous, costing the company more money than necessary to relocate their employees, or too limited, forcing transferees to pay out of pocket unnecessarily. This approach leaves the entire move is managed by the transferees, many who might not have any prior moving experience.

Conversely, a traditional relocation model is managed by a relocation management company (RMC). The RMC coordinates everything for the transferees. This includes, but is not limited to, home selling, household goods movement, temporary living, and home purchasing. The RMC sets up the various services with reputable, vetted network partners. Since the RMCs use direct billing back to the client companies, the transferees rarely have to open their wallets. HR and finance departments receive detailed expense reports from the RMCs that capture all the costs related to relocating their transferees.

Based on comprehensive relocation surveys, here are findings of how companies in five different industries utilize either traditional, managed cap/lump sum, or a combination of these relocation programs:

Relocation Models by Industry: Energy, Healthcare/Medical, Manufacturing, Retail, Technology

The figures above illustrate that across all the industries in this survey, traditional relocation programs are used more frequently than lump sum or managed cap programs. However, in all the industries, there is a large percentage of companies that utilize a combined approach. A best practice consideration is to adopt a combination of traditional and managed cap relocation models.

Modern Mobility Made Easy™
Helping you manage your relocating employees

Global Mobility Solutions, an innovative leader in corporate relocations since 1987, can analyze and create mobility management programs customized for your unique needs. Additionally, we have compiled benchmarking studies and relocation best practices for numerous industries. To learn more about what type of relocation model would fit best with your company, get the full relocation benchmarking study for your specific industry:

Download your industry benchmarking study

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Global Mobility Solutions Expands Headquarters

Phoenix Arizona city skyline at dusk, showing a beautiful city destination for companies considering a 2020 Phoenix Relocation

Scottsdale Mayor kicks off the headquarters expansion celebration

Headquarters Expansion – Global Mobility Solutions (GMS), a leader in corporate relocation solutions and technology, held an Open House Wednesday, September 20th, to celebrate its headquarters expansion.

The Open House ran from 3:00 pm to 5:00 pm and Guest of Honor was Jim Lane, the Mayor of Scottsdale, performed a ribbon-cutting ceremony to officially commemorate the new office.

Global Mobility Solutions ribbon-cutting ceremony. (From left to right) Rich Ganley, GMS Founder and Board Member; Steven Wester, GMS President and Board Member; Jim Lane, Mayor of Scottsdale; Mark Hiegel, President and CEO of Scottsdale Chamber of Commerce; Steve Ziomek, GMS Founder, Designated Broker, and Board Member.
Global Mobility Solutions ribbon-cutting ceremony. (From left to right) Rich Ganley, GMS Founder and Board Member; Steven Wester, GMS President and Board Member; Jim Lane, Mayor of Scottsdale; Mark Hiegel, President and CEO of Scottsdale Chamber of Commerce; Steve Ziomek, GMS Founder, Designated Broker, and Board Member.

GMS president, Steven Wester, praised his staff and network partners for their role in the expansion, and stated that the company shows no sign of slowing its growth.

“This is a big milestone for Global Mobility Solution. Not only are we celebrating our thirtieth anniversary this year, but to expand by fifty percent is a testament to all our wonderful employees.” Mr. Wester continued, “This growth is also attributed to innovative technology solutions and our strong client partnerships.”

Mayor Lane stated, “It’s always great to see success here in Scottsdale.” The Mayor reminisced, “In this particular case, thirty years ago, I had a consulting company and these guys were my clients. So,” said the smiling Mayor, “I take a little bit of responsibility for their success.”

Mark Hiegel, President and CEO of the Scottsdale Chamber of Commerce, also provided some words of congratulations before Mr. Wester invited the guests to tour the office and enjoy the food and beverages.

This event provided an excellent opportunity for clients and network partners to meet the individuals with whom they do business, and for neighboring companies to learn about Global Mobility Solutions.

About Global Mobility Solutions

Founded in 1987, Global Mobility Solutions is a relocation management company that specializes in supplier management and relocation program development. The company’s relocation services include global assignment management and domestic relocation management, as well as a range of pre-decision solutions and relocation technology applications. To learn more about how Global Mobility Solutions can help you with your relocation management, contact us now.

 

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Germany Implements ICT Directive

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Will you or your transferees be affected?

What has changed?

Effective immediately, Germany Implements ICT Directive – the German parliament has implemented an ICT Directive which intends to regulate the conditions for entry and residence of thirty-country nationals within the intra-company transfer (ICT) process.

Who is affected?

  • Employees working at the same group of companies for at least six (6) months being sent to Germany on an intra-company transfer
  • Employees working at the same group of companies for less than six (6) months intending to be sent to Germany on an intra-company transfer
  • Clients transferring employees to the same group of companies from another EU country to Germany

What to expect

The ICT Directive provides two different categories: firstly, third-country nationals who want to enter Germany directly from their home country (third-country); secondly, third-country nationals who already hold an ICT residence permit in another European Union (EU) Member State and are transferred to Germany for short or long-term transfer within the same group of companies.

The law divides it as follows:

1) ICT card for intra-company transferred workers (third-country nationals) must fulfill the following requirements:

  • Transfer must take place within the same company group
  • The employee must be either a leader (e.g. manager with leading function) or a specialist
  • Employee must have been with the company for at least six (6) months
  • The transfer must be for more than ninety (90) days, but cannot exceed three (3) years
  • An approval from the Federal Employment Agency must be obtained in advance
  • For the duration of the transfer, the assignee must have a valid assignment contract with his/her home employer and return to the home entity after the transfer
  • The remuneration (salary and monetary benefits) and working conditions (working time, leave, wage advancement in case of illness, etc.) must be comparable with a local employee

2a) Short-term mobility for intra-company workers (third-country nationals) must fulfill the following requirements:

  • Application in Germany up to ninety (90) days within 180 days
  • The assignee has a valid residence permit issued by another EU Member State pursuant to the ICT Directive
  • Proof that the domestic branch office belongs to the same company/group
  • Must have a valid passport
  • Confirmation on the entitlement to enter and residence for the purpose of intra-company transfer issued by the Federal Office for Migration and Refugees (Bundesamt für Migration und Flüchtlinge BAMF)

2b) Mobile ICT Card must fulfill the following requirements:

  • Transfer must take place within the same company/company group
  • The assignee must either be a leader (e.g. manager with a leading function) or a specialist
  • The assignee has a valid residence permit issued by another EU Member State according to the ICT Directive
  • The transfer is for more than ninety (90) days
  • An approval from the Federal Employment Agency must be obtained in advance
  • For the duration of the transfer, the assignee must have a valid assignment contract with his/her home employer and return to the home entity after the transfer
  • The remuneration (salary and monetary benefits) and working conditions (working time, leave, wage advancement in case of illness, etc.) must be comparable with a local employee

If the application was submitted at least twenty (20) days before the start date of the assignment and the assignment has already been submitted to the authorities of the other EU Member State on the first application, the stay and assignment in Germany will be allowed for a period of up to ninety (90) days before the decision was made by the German authorities.

Please note there will be a period of transition as Germany Implements ICT Directive and the authorities will need some time to get use to the new process. We anticipate having more details on the practical implementation and application procedures to share with you in the near future.

 

Modern Mobility Made Easy™

Planning ahead

To learn more about Germany Implements ICT Directive or any other issues that affect you or your mobile employees, be sure to speak with one of the Global Consultants at Global Mobility Solutions. From pre-decision to visa and immigration to language and cultural training, GMS has the award-winning programs and innovative technology to make relocating your employees and tracking their expenses simple and worry-free.

Request your complimentary Visa Program Assessment

Provided by Global Mobility Solutions network partner Emigra World News

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The Real Truth: Managed Cap vs. Lump Sum

Managed Cap vs Lump Sum – Key Things You Need to Consider

As a mobility manager, lump sum payments might seem like the fastest and easiest method of providing your employees with the funds they need to move. However, when looking at managed cap vs lump sum, lump sum payments come with their own unique set of problems. Some of the challenges include:

  • Transferees often left alone in the relocation process
  • No cost controls and often budgetary overages
  • Limited process or service structure
  • Non-taxable benefits are lost
  • Frustrated transferees mean elevated HR involvement and escalations

Fortunately, a managed cap program alleviates many of the problems associated with a lump sum. It also provides:

  • The desired simplicity and predictability of a lump sum program
  • Enhanced employee tax benefits, resulting in more dollars for relocation.

Let’s see the difference between a $15,000 lump sum payment and the same $15,000 from a managed cap program:

GMS-Managed-Cap-vs-Lump-Sum-Chart

A Winning Scenario

The Managed Cap Program provides the transferee with $4,351 more for relocation services!

 

Modern Mobility Made Easy™

What this means for you and your relocating employees

A Managed Cap program will ensure that your transferees get the most out of their relocation dollars and that you will reduce the amount of administrative burden dealing with exceptions. Global Mobility Solutions – a leader in mobility management since 1987 – has expert relocation consultants who understand how a Managed Cap program can benefit you and your company. Contact Global Mobility Solutions and learn how we can quickly implement a managed cap program custom-tailored for your needs. Request your complimentary managed cap program demo to see how much you can be saving.

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